ABSTRACT
Algeria's industrialization strategy is rooted in the reality of over a century of colonial domination and dependency. The four-year plans of 1970-1974 and 1974-1977 embodied the essence of the strategy of "industrializing industries." This chapter aims to evaluate the role of the United States (US) as a chief partner in Algeria's industrialization process. The political and economic contours of Algeria's industrial growth from 1970 to 1980 demonstrate the limitations imposed on development based upon reliance on the international market, represented in this discussion by US capital. The new and growing role of the US in the Algerian economy during the period was based in part on US energy needs and Algeria's needs for capital and technology. The Algerians succeeded in creating some competition among potential suppliers as Algeria became known as a promising site for activities of external lending sources.
